Dow Moves Lower as Wall Street Gears Up for Earnings

Bank of America kicked off a jam-packed week of earnings

Deputy Editor
Apr 18, 2022 at 11:55 AM
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Stocks are struggling for direction midday, with investor sentiment dampening after the 10-year Treasury yield hit a more than three-year high this morning. Finance stalwart Bank of America (BAC) kicked off a jam-packed earnings week with top- and bottom-line beats, while investors prepare for earnings from the likes of Netflix (NFLX) and Tesla (TSLA) later in the week. The Dow Jones Industrial Average (DJI) was last seen down 39 points, while the Nasdaq Composite (IXIC) and the S&P 500 Index (SPX) are firmly in the red.

Continue reading for more on today's market, including: 

  • Why Morgan Stanley downgraded Sirius XM stock.
  • This fast food stock could be dented by inflation.
  • Plus, options bulls bet on SFIX's bottom; Natus Medical's billion-dollar buyout; and an overhyped tech stock taking a step back.

Midday Market Stats April 18_2022

Options bulls look like they might be betting on a bottom for Stitch Fix Inc (NASDAQ:SFIX). The equity's normally quiet options pits are have seen more than 20,000 calls exchange hands already today -- volume that's good for 23 times the intraday amount. The most activity is taking place at the weekly 4/22 10.50-strike call, where new positions are being bought to open. At last check, Stitch Fix stock is trading at $9.48, down 2.2% this afternoon, after catching a break at a familiar floor near the $9 level. The shares sport a nine-month losing streak, with pressure from the 40-day moving average. Year-over-year, SFIX is down nearly 80%.

SFIX Chart April 18

Natus Medical Inc (NASDAQ:NTUS) sits near the top of the Nasdaq this afternoon, last seen up 28.7% to trade at a two-year high of $33.53. This pop follows news that the medical device maker will be acquired by an affiliate of ArchiMed for a $1.2 billion price tag. Natus Medical stock is on track for its biggest single-day percentage gain since April 2020, and is now up 41.6% year-to-date.

On the other end, Arqit Quantum Inc (NASDAQ:ARQQ) is near the bottom of the tech-heavy index. ARQQ was last seen down 18.1% to trade at $12.34, after a Wall Street Journal report revealed the British encryption company may have overstated its encryption technology's capability. Promises of protection for the defense industry, corporations, and consumers, helped propel the shares to $41.52 shortly after going public last fall, but Arqit Quantum stock sports just one winning month in the last five.

 

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